Crop Report Insights
From the Ag Information Network, I’m Bob Larson. The USDA’s June Acreage Report showed minor shifts in plantings this year, with fewer corn acres and more soybeans planted.
Faith Parum, economist at the American Farm Bureau Federation, says another point of interest was that farmers also planted less wheat as well …
PARUM … “And a lot less wheat than expected. We did kind of see in the March Intentions Report that wheat was going to be lower this year, and that held true. All of this kind of shows how cost of production shifts planting over time. I will say that, originally, we thought that there was going to be a large shift to soybeans because of the cost of fertilizer, and it really wasn't that big of a shift.”
Parum says farmers and economists should be getting more information soon, when the July WASDE report comes out …
PARUM … “The WASDE will provide us a new update on what global supplies look like, as well as what domestic supplies may look like with these new acreage numbers, and what we think farm prices will look like. So, it'll be a good overall look at the state of the row crop market, specifically.”
Parum says fertilizer prices did come into play with the switch from corn to soybeans acreage …
PARUM … “Some probably switched and planted a little bit more soybeans than they were thinking, but nothing too drastic. I think we might have seen some reduction in acreage, but again, nothing too drastic. What we'll really look to now is what the fall fertilizer markets look like. With the conflict still ongoing, there'll be a lot of volatility into that fall application period.”
Again, that’s Faith Parum of the American Farm Bureau Federation.
